Understanding Fixed Recoverable Costs (FRC)

Unlocking Your Path to Fair Compensation

Navigating the Changes in Civil Cost Reforms

As of October 1, 2023, a significant shift has occurred in the realm of civil claims, impacting anyone seeking compensation for avoidable injuries. Fixed recoverable costs (FRC), which used to apply in limited scenarios, have now been extended to cover a broader range of cases up to a value of £100,000.

 

What does this mean for you?

If you’re considering a claim for damages resulting from an avoidable injury, the change could potentially lead to increased costs. The gap between the actual expenses incurred in litigation and the recoverable costs from the defendant might widen.

In simple terms, the party found unsuccessful will most likely pay the reasonable costs of the successful party. This has always been the case. BUT, now if you’re unsuccessful you are restricted in the fixed costs. This means that the actual cost of litigation is likely to be more than what can be recovered from the unsuccessful party. Accordingly, if you’re successful you are required to meet this deficit.

 

Understanding Fixed Recoverable Costs (FRC)

Fixed recoverable costs refer to the amount a successful party can claim back for their legal fees, as determined by the court. Consequently, these costs, set by law, cannot be disputed by the paying party. Above all it’s important to note that these fixed costs might be lower than those your solicitor needs to incur.

A s a result, solicitors are finding it difficult to process claims within the fixed cost parameters. The amount of work needed from a solicitor means they have to charge their clients to make up the difference.

 

Tracks: Your Legal Journey

Once court proceedings commence, your case is allocated to specific tracks. This influences the costs recoverable if you’re successful. Previously, there were three tracks: small claims, fast track, and multi-track.

Small Claims Track:

For cases under £10,000, with limited recoverable legal costs, mainly covering court fees.

Fast Track:

Designed for claims up to £25,000, where fixed costs typically apply.

Multi-Track:

For complex claims exceeding £25,000, with no fixed costs, allowing the successful party to claim legal costs from the unsuccessful party.

 

Changes in the Landscape

The recent reforms introduced a significant change – the introduction of the intermediate track. This track covers claims valued between £25,000 to £100,000. Specifically this new track replaces the multi-track for cases falling within this range.

 

What does this mean for you as a claimant?

With the expansion of fixed costs to more cases, you may face the challenge of paying your solicitors more than the recoverable costs from the unsuccessful party. Accordingly, this shift has the potential to limit access to justice, deterring claimants from seeking legal representation due to this restricted recovery of legal fees.

 

How Attwaters Accidents Supports You

At Attwaters, we are dedicated to ensuring you have access to justice. Above all, we strive to work within fixed cost parameters, maximising recovery.

Our commitment is to make the legal process as accessible and beneficial for you as possible as well as guiding you through these changes and optimising your chances of fair compensation.

 

Your next step towards justice

Contact Attwaters Accidents for your free consultation. Let us guide you through the legal complexities, providing personalised service and unwavering support every step of the way.

Visit attwatersaccidents.co.uk, call us at 020 38 710 110, or email us at accidents@attwaters.co.uk.

 

Choose Attwaters Accidents—where exceptional service meets unparalleled dedication. Let’s embark on the journey to justice together.

 

Attwaters Accidents is the Medical Negligence department of the trusted, long-established firm Attwaters Jameson Hill.

Contact us today at 020 38 710 110 or complete our short website form. We’re here to help you navigate the road to justice and recovery with compassion and expertise.

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